Albania Energy Reform Technical Assistance

Project

Energy
Sustainable development

Project start date: October 15 2020

Status
Closed
Project end date: April 15 2023
Financing amount (Euro): 1M€
Country and region: Albania

This project aims to support Albanian authorities developing a modern regulatory framework in the energy sector, with a specific focus on electricity.

Albania is a country rich in energy resources with a high potential in renewable resources (solar, wind and geothermal energy), which are scarcely exploited today. The electricity mix (in terms of operational installed capacity) is 100 % hydropower dependent. As a result, the country is highly dependent on climatic variations and on imports.

Albania joined the Energy Community (EnC) in 2006 and has made strong commitments to adopt the energy acquis communautaire. The reform of the sector and corporate governance, the setting of prices to ensure cost recovery, the establishment of the electricity market and the development of renewable energies are considered as essential to ensure the sector’s financial recovery and sustainability.

Carrying out a reform of the energy sector in Albania

In this context, a Technical Assistance project was launched in October 2020 to support Albania developing a modern regulatory framework in the energy sector. Financed by the Agence Française de Développement (AFD), it focuses more specifically on strengthening the work of the Energy Regulatory Entity (ERE) and the Energy Efficiency Agency in Albania, in their endeavor to establishing a market environment based on the best international practices. The project is parallel to a budget support loan for the reform of the Albanian energy sector (funded by AFD and KfW).

Find out more about the policy-based loan to support the reform of the electricity sector in Albania

Expertise France was entrusted by AFD with the implementation of the project and is assisted in this task by the Commission de Régulation de l’Energie (CRE), a French independent administrative authority in charge of energy regulation matters in France.

Main areas of operations

In order to reach its objective, the project focuses on the following aspects:

• Support to ERE (Albanian Energy Regulator);
• Design of a Social Support Scheme;
• Environmental and Social Systems Assessment (ESSA);
• Participation in the development of Energy Efficiency policies;
• Gender in the energy sector.

For futher reading: Energy regulation: a French technical assistance project to enable Albania to meet the challenges of the future

News of the project

February 2023 - Albania Energy Efficiency Agency staff learn about energy efficiency strategies and methods in France

In order to complement an energy audit training session, Expertise France designed a study tour for a delegation of six staff members, which was organized in France from February 20th to March 3rd 2023, in collaboration with the consultancy EXENCI.

During the study tour, the Energy Efficiency Agency delegation had the opportunity to meet with representatives from Agence Française de Développement, the Technical Association for Energy and Environment, and the French Agency for Ecological Transition to better understand the strategies and practices implemented in France as regards the development and establishment of a fully-fledged energy efficiency policy. This very first study tour organized in France has enabled Albanian participants to harvest a number of information, facts, and data, in addition to an abundant documentation regarding both institutional and technical issues to enrich their own policies.

The next step consists of a practical training in Albania on the technical methodology of an audit.